▷ Price increase for construction work continues / vdpResearch expects for the year …

03.02.2022 – 09:06

Association of German Pfandbrief Banks (vdp) registered association

Berlin (ots)

The real estate market research company vdpResearch forecasts that prices for construction work will continue to rise, according to a current analysis that appeared as part of the “Market Aspects” series of publications. After construction prices had already risen very sharply in 2021, the experts expect an average increase in construction prices for residential and commercial real estate of around 8% for the current year.

Last year there were already strong price increases for construction work: over the whole of 2021, the price increase for residential buildings was 9.1%, for office buildings and commercial buildings 9.2% and 9.6% respectively. The main reasons for this were the high demand for construction work and the sharp rise in prices for building materials, for example the prices for woodwork rose sharply on average over the year with a plus of 30%. Added to this was the return to the normal sales tax rate from 16% to 19%, which provided a one-off base effect.

“Unlike last year, the sales tax in 2022 will not have any impact on prices. But the high utilization of construction capacities coupled with a shortage of workers and rising material and energy prices continue to exert considerable pressure,” explained Dr. Franz Eilers, head of real estate market research vdpResearch. In general, it is assumed that energy prices will level off at the level currently reached in the medium term. The increase in material prices is expected to continue at a reduced rate.

“In addition, the order backlog in building construction in the third quarter of 2021 was significantly higher than the corresponding figure for the previous year. All in all, this suggests that construction work will also become significantly more expensive in the current year, albeit not quite as much as in 2021,” said Eilers . The increases in price make it more difficult to plan investment projects and impair the renewal and expansion of the building stock.”

All publications of the “Market Aspects” here: https://www.pfandbrief.de/site/de/vdp/Presse/Ver-ffentlichungen/vdpR_Marktaspekte.html

Press contact:

Carsten Dickhut
T +49 30 20915-320
E [email protected]

Franziska Roederstein
T +49 30 20915-380
E [email protected]

Original content from: Association of German Pfandbrief Banks (vdp) eV, transmitted by news aktuell


Leave a Reply

Your email address will not be published.